Business
Termination of Formal Sale Process
Termination of Formal Sale Process.
About this update from Renalytix Plc
[{"type":"text","content":"\n\nRenalytix plc\n(\"Renalytix\" or the \"Company\")\n \nTermination of Formal Sale Process\n \nLONDON and NEW YORK, 20 August 2024 - Renalytix plc (NASDAQ: RNLX) (LSE: RENX), an artificial intelligence-enabled in vitro diagnostics company, focused on optimizing clinical management of kidney disease to drive improved patient outcomes and advance value-based care, provides the following update in respect of its Formal Sale Process.\n \nAs announced on 4 March 2024, the Company commenced its Formal Sale Process after receiving an unsolicited approach from a large and well-capitalised publicly listed strategic diagnostics company, which was evaluating an acquisition of the entire issued, and to be issued, share capital of the Company.\n \nThe Board of the Company (the \"Board\") has determined that based on outreach, dialogue and discussions to date, it does not believe there is a realistic prospect of an offer for the issued, and to be issued, share capital of Renalytix being forthcoming in the near term. As such, the Board has decided to terminate the Formal Sale Process under the Takeover Code and the Company is therefore no longer in an Offer Period.\n \nThe Company confirms that it is in advanced discussions with key stakeholders of the business, who have indicated their support for management to achieve the Company's goals of the refreshed business plan, with focused expenditure and investment alongside reduced operating costs, and a suitable capital structure and funding. The Company will continue to assess options to maximise value for its shareholders and further updates will be made as appropriate.\n \nHaving achieved significant milestones for the business, including FDA approval for KidneyIntelX, and a final Medicare coverage determination for the Company's kidneyintelX.dkd testing with an established price of $950 per test, Renalytix has made positive progress operationally this year in addition to the financings completed earlier in 2024. The Company believes that the total addressable market opportunity for KidneyIntelX provides potential for significant growth in revenues over the next 3 years, subject to funding and continued development of commercial partnerships.\n \nSubsequent to the financings that were successfully completed earlier in 2024, the Company has cash runway exten...